According to a 2013 Deloitte survey, few sellers – fewer than one out of five - are able to generate bids that exceed their expectations when it comes to getting the best possible price from a divestiture.
The survey also showed that one of the most critical keys to getting top dollar is the strength and preparation of the management team.
To address this need, we’ve developed a unique process for preparing leadership teams to deliver a compelling and convincing management presentation that marries the key data with the stories behind the numbers.
Based on my experience, I want to share with you five must-do tips for maximizing divestiture value:
1. Understand the Buyer’s Perspective.
While the financials are critically important, there needs to be a laser focus on what will really matter to each buyer. What data points are most compelling? What is most exciting to them about this opportunity? You need to speak directly to this for each unique buyer.
2. Tell stories about the business.
Using behavioral interviewing techniques, we unearth and capture stories that help the buyers understand what’s special about the business—the intangibles that can’t be captured on a spreadsheet.
3. Storyboard the presentation.
Through our interviewing process, we determine the key themes that showcase why the business is so valuable… and we find supporting data, stories, and visuals to drive those themes home. The result is a presentation that stands up to quantitative scrutiny …but that is also emotionally compelling.
4. Coach the management team through the process.
A divestiture can be an emotional roller coaster for the management team, professionally and personally. We provide high-touch coaching that helps leaders embrace the challenge … and we give them expert guidance every step of the way so they shine in the spotlight when tens or hundreds of millions of dollars are at stake.
5. A Q&A pepper session.
All sorts of questions emerge during and after these presentations—open-ended questions, emotionally charged questions, and questions that you’re frankly not going to answer at this point in the process. Through fast-paced practice sessions, we help the team prepare to address all of these, sharing tools that we’ve developed in our work in media training.
With a prepared team delivering a great management presentation, you can be confident that you’re driving maximum value ….and not leaving any money on the table.